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HDB resale flat prices climb 2.6% in 3Q2022

Atiqah Mokhtar
·3-min read


HDB resale flat prices rose by 2.6% q-o-q in 3Q2022, easing slightly from the 2.8% growth in 2Q2022 (Picture: Samuel Isaac Chua/The Edge Singapore)

SINGAPORE (EDGEPROP) - Figures released by HDB on Oct 28 showed that resale flat prices rose by 2.6% q-o-q in 3Q2022, easing slightly from the 2.8% growth logged in 2Q2022. The final figure released for 3Q2022 is higher than the 2.4% flash estimate released on Oct 3.

This brings total growth in resale prices for the first nine months of the year to about 8%, notes Christine Sun, senior vice president of research and analytics at OrangeTee & Tie. Sun adds that the easing price growth in 3Q2022 indicates that the housing sector has started to feel the effects of rising interest rates and inflation, which have impacted homebuyers’ ability to afford properties.

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Nicholas Mak, head of research and consultancy at ERA Realty Network, notes that the year-to-date growth in HDB resale prices of 8% is also slower than the 9.1% growth recorded for the same period in 2021. He adds: “This indicates that HDB resale housing prices are showing signs of slower growth even before the government introduced the latest round of cooling measures on Sept 29.”

Read also: Government releases yet another set of property cooling measures amid rising market interest rates

According to Mak, HDB resale price growth in 3Q2022 was driven by the price expansion of the larger flats. “The median price of Executive flats, which is the largest type of public flats, increased 4% q-o-q in 3Q2022, while the median price of 3-room flats increased only 0.5% q-o-q in the same period,” he points out.


The third quarter also saw a record number of million-dollar HDB resale flats transacted. 111 flats priced at least $1 million changed hands during the quarter, representing a spike of 33.% q-o-q and marking the highest quarterly number of such transactions.


In terms of volume, 6,819 HDB resale flat transactions were recorded in 3Q2022, an increase of 10.7% from the 7,546 flats transacted in 3Q2022. “More deals were sealed as the gap between seller expectations and buyer budgets may have narrowed last quarter,” remarks OrangeTee & Tie’s Sun. She also notes that HDB upgraders may have bought resale flats as prices of new condominiums in suburban areas escalated beyond $2,000 psf last quarter. (Find HDB flats for rent or sale with our Singapore HDB directory)


Nonetheless, Mak notes on a y-o-y comparison, volumes have also eased. In the first nine months of this year, a total of 21,299 HDB resale flats changed hands, which is fewer than the 23,077 resale flats that were sold in the same nine-month period in 2021.

Wong Siew Ying, PropNex head of research & content anticipates the cooling measures announced on Sept 29 to help moderate prices. “These measures may help to rein in the pace of price growth going forward as they will affect the loan quantum for buyers taking an HDB loan, as well as delaying cash-rich private home downgraders from entering the HDB resale market,” she says.

However, she expects demand for HDB resale flats to stay resilient, with a projection transaction volume exceeding 28,000 for the full year. In addition, stock for HDB flats remains tight, which will support prices. “Although a bumper crop of more than 31,000 flats are estimated to exit the five-year minimum occupation period this year, some owners may opt to stay put in view of the firm private home prices and high replacement cost of buying a residential property in today’s market,” she adds.

To that end, Wong is forecasting HDB resale prices to grow by 9% to 10%, easing slightly from the 12.7% increase posted in 2021.

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